Vermont state ACO funded with $620 million Mike Souheil

The budget approved Thursday marks the beginning of a five-year experiment to transform health care in the state. The Burlington Free Press reports the new plan to lower the overall cost of health care will have pay doctors whether their patients are sick or not.

Board Chair Kevin Mullin says Vermont is leading the nation in moving toward a value-based payment model. Under the current system, healthcare providers are paid for each patient visit and procedure, known as a fee-for-service model. The OneCare system will pay primary care providers fixed monthly payments.

Starting in January, 122,000 people, or about one in every five Vermonters, will come under the OneCare system.